Synchronica and Intertainment Media intend to integrate Synchronica's
flagship messaging platform, Mobile Gateway, with Intertainment Media's
Ortsbo experiential language technology. This will enable Mobile
Gateway to provide its users with seamless and real-time translation
between more than 50 languages potentially across Synchronica's growing
client base of over 100 mobile operators and device manufacturers
around the world

In addition, Synchronica will enter a joint venture agreement with
Intertainment Media and its subsidiary Ortsbo Inc., in which the
parties will license their respective Intellectual Properties to a new
subsidiary. The subsidiary, which will be jointly-owned by both
parties, will allow Synchronica and Intertainment Media to further
develop each other's products, share R&D efforts, enlarge each other's
business development activities and drive revenue and profitability for
both companies from new projects.

It is envisaged that Synchronica will demonstrate the Ortsbo technology,
fully integrated with Mobile Gateway, in time for Mobile World Congress
2012 in late February (www.mobileworldcongress.com). In late 2011, with a view to aligning its costs to its recurring
revenue billings, Synchronica informed shareholders that it was
implementing several cost reduction initiatives across the entire
business. The Board of Directors also committed to manage its cash
carefully, while also seeking further funding opportunities which would
accelerate the business and drive shareholder value.

This joint venture agreement will represent the first step in this
commitment, with Intertainment Media making a strategic investment into
Synchronica. As part of the transaction, Intertainment Media will,
subject to Synchronica shareholder approval, invest up to CDN $10
million in Synchronica, at a minimum price of GBP 0.16 per unit. Each
unit will comprise one ordinary Synchronica share, plus one ordinary
share warrant, exercisable at CDN $0.40 per share, at any time within
two years of issue.

The transaction is subject to the completion of satisfactory due
diligence, the execution of legally-binding agreements, as well as
necessary board and regulatory approvals.

Synchronica will shortly seek shareholder and necessary approvals for
Intertainment Media's first investment of CDN $1 million. These
additional funds will be used for additional working capital and to
integrate the Ortsbo language technology with Synchronica Mobile
Gateway. Subject to shareholder and necessary approvals, Intertainment
Media will make a further investment in March 2012, of between a
minimum of CDN $1 million and a maximum of CDN $5 million.

"Synchronica Mobile Gateway has strong sector revenue and is already
used by more than 100 of the world's most successful mobile operators
and device manufacturers," says David Lucatch, CEO of Intertainment
Media and Ortsbo. "Several of Synchronica's customers have
multinational properties, and by providing on-the-fly translation with
Ortsbo, they add even greater value to their service offerings and
sector leadership. Intertainment Media is all about investing,
nurturing and developing leading edge technologies, digital and social
media platforms. Synchronica ticks all of these boxes, and we're
excited about the prospects of our cooperation and a strong future
together."

"This is a new and exciting partnership for Synchronica," adds
Synchronica's CEO, Angus Dent. "It will allow us to immediately enrich
Mobile Gateway with real-time conversational translation services,
which will really appeal to our new and existing customers. Ortsbo
complements Synchronica Mobile Gateway, and together we're able to
provide a unique possibility for our customers to position themselves
as the hub for social interaction, regardless of geographical or
language limitations. Intertainment Media owns and operates several
key technologies, and we believe this co-development agreement and
investment will create significant value for Synchronica shareholders."

Synchronica is headquartered in the United Kingdom and has a regional
presence in Canada, as well as the USA, Hong Kong, Spain, and Dubai.
Synchronica also operates dedicated development centres in Germany and
the Philippines. A public company, Synchronica is traded on the AIM
list of the London Stock Exchange (SYNC) and the Venture Exchange of
the Toronto Stock Exchange (SYN). For further information, please visit
www.synchronica.com

Intertainment Media Inc. is one of Canada's leading technology
incubators and is focused on developing, nurturing and investing in
technologies and companies that provide technology solutions for brands
and consumers alike.

Intertainment Media also owns and operates a number of key properties
including Ad Taffy, itiBiti, Ortsbo, Deal Frenzy and Magnum, with
investments in leading edge technologies and social media platforms
including theaudience.com. For more information on the Company and its
properties, please visit www.intertainmentmedia.com

Headquartered in the Toronto, Canada region, with offices in New York,
Los Angeles and San Mateo, CA, Intertainment Media Inc. is listed on
the Toronto Venture Exchange under the symbol "INT" (TSXV:INT) and in
the US on the OTCQX Exchange under the symbol "ITMTF". Intertainment
is also traded in Europe, on the Frankfurt Exchange on the XETRA
trading platform under the symbol "I4T".

With over 40 Million monthly users in over 170 countries and
territories, Ortsbo enables real-time conversational translation in
over 50 languages and seamlessly integrates with today's most popular
social media platforms. Ortsbo's flagship product for social media
supports global communications with instant translation capability,
real time multi-lingual social media chat connects to PC and Mac
computers, mobile browsers as well as all major chat platforms
including MSN, Google, Facebook, Twitter and Yahoo! and others.

Ortsbo allows users to communicate with family, friends and colleagues
around the world, providing users with the ability to break down
language and cultural barriers through its easy to use, language
centric interface. Ortsbo also provides plug-in email translation
capabilities for Microsoft Outlook.

Ortsbo's Live & Global platform offers a unique solution for
broadcasting events to a global audience, with video and real time,
multi-lingual chat. Ortsbo currently hold the Guinness World Record for
the most nationalities in an online chat.

Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release. No
stock exchange, securities commission or other regulatory authority has
approved or disapproved the information contained herein.

The foregoing information may contain forward-looking statements
relating to the future performance of Synchronica. Forward-looking
statements, specifically those concerning future performance, are
subject to certain risks and uncertainties, and actual results may
differ materially from Synchronica's plans and expectations. These
plans, expectations, risks and uncertainties are detailed herein and
from time to time in the filings made by Synchronica with the TSX
Venture Exchange and securities regulators. Synchronica does not assume
any obligation to update or revise its forward-looking statements,
whether as a result of new information, future events or otherwise.